PHOTO: FILE
Homeowners are showing increased confidence in listing their properties for sale, as recent data reveals a 40 percent surge in available homes compared to a year ago. According to the latest PropTrack listings report, April witnessed the highest number of new property listings since 2021 across Australia’s major cities.
Cameron Kusher, PropTrack’s economic research director, noted that while new listings have risen across all capital cities, Sydney and Melbourne continue to lead the market. He emphasized the consistent growth in listings in these cities since July of the previous year.
Despite the robust property prices in early 2024, the influx of new listings has expanded the overall inventory for sale, notably in Sydney, Melbourne, and Canberra. However, indicators such as reduced median time on the market and increased inquiries suggest sustained buyer demand compared to the previous year.
The surge in new listings isn’t unexpected, as property owners assess the impact of interest rates on their finances and ongoing living expenses. Kusher highlighted the stabilization of interest rates over the past year as a factor boosting seller confidence.
Various factors are driving people to sell their properties, including rising living costs, substantial property value appreciation, and the need for upgrades or relocation. Additionally, the expense of major renovations amid soaring material and labor costs is prompting some to consider selling rather than renovating.
Sydney, Melbourne, Hobart and Canberra also saw an increase in total listings for sale in April 2024 compared to a year earlier with 16.1 per cent, 21.4 per cent, 1.1 per cent and 29.7 per cent respectively
While Sydney, Melbourne, Hobart, and Canberra witnessed a rise in total listings compared to the previous year, other cities like Brisbane, Adelaide, Perth, and Darwin experienced declines, mainly due to fewer new builds.
The latest PropTrack listings report revealed the Aussie property market saw the strongest new listings for the month of April since 2021
New listings for April year-on-year:
- Sydney 44.9 per cent
- Melbourne 52.7 per cent
- Brisbane 34.4 per cent
- Adelaide 26.6 per cent
- Perth 23.5 per cent
- Hobart 11.1 per cent
- Darwin 2.7 per cent
- Canberra 49.1 per cent
In the rental market, the situation remains tense due to limited rental stock. While demand has slightly decreased in Sydney and Melbourne, rental competition remains fierce across most cities due to inadequate supply. This imbalance may lead to affordability challenges, pushing renters towards smaller accommodations or shared housing arrangements.
Listings haven’t been as strong in Brisbane, Adelaide, Perth and Darwin compared with 12 months ago
Although the rental market is expected to remain tight for several years, rental growth may stabilize as wage increases lag behind rental price hikes.
SOURCE: THE DAILY MAIL